India trims retail fuel prices

The Indian government reduced retail fuel prices in the country, following a sharp fall in global crude oil prices in January. “The government has decided to pass on the benefit of the fall in international oil prices to consumers,” Oil Minister Murli Deora said. While the government earlier said it may introduce a new mechanism for pricing gasoline and diesel fuel that would make retail prices more responsive to market conditions, this plan did not push through. The price of petrol dropped by Rs5 (US$0.10) per liter, or 11%, from Rs45.62 (US$93) in New Delhi, and diesel fuel by Rs2 (US$0.04) in the Indian capital. Cooking gas prices were lowered by Rs25 (US$0.51) for a 14.5 kilogram cylinder. (January 30, 2009)